Citing concerns over alleged White House influence in dispersing loans, California Republican Rep. Darrell Issa announced that the House Oversight and Government Reform Committee would begin an investigation into the wireless startup LightSquared.
On C-SPAN’s Washington Journal Tuesday morning, Issa, who chairs the Oversight Committee, named LightSquared along with the embattled solar energy company Solyndra as examples of “crony capitalism.”
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“I want to see when the president and his cronies are picking winners and losers,” he explained, “that it wasn’t because there were large contributions given to them.”
The investigation comes after weeks of allegations that LightSquared used political contributions to the Democratic Party to influence the Obama administration, which in turn pressured federal agencies to approve a proposal to build a terrestrial wireless network.
A series of stories published by The Daily Beast reported instances where the administration had pressured agencies and agency heads — including a four-star general — into changing their testimonies to closed congressional hearings to hasten approval for the network.
Read More at The Daily Caller By Tina Nguyen, The Daily Caller